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Advertising agency
Online Advertising
Advertising agency
An advertising agency or ad agency is a service
business dedicated to creating, planning and handling
advertising (and sometimes other forms of
promotion) for their clients. An ad agency is independent from the
client and provides an outside point of view to the effort of selling
the client's products or services. An agency can also handle overall
marketing and
branding
strategies and
sales promotions for its clients.
Typical ad agency clients include businesses and corporations, non-profit
organizations and government agencies. Agencies may be hired to produce single ads or, more commonly, ongoing
series of related ads, called an
advertising campaign.
Ad agencies come in all sizes, from small one- or two-person shops to large
multi-national, multi-agency conglomerates such as Omnicom Group or WPP Group.
Some agencies specialize in particular types of advertising, such as print
ads or
television commercials. Other agencies, especially larger ones, produce work
for many types of media (creating integrated marketing communications, or
through-the-line (TTL) advertising). The "line", in this case, is the
traditional marker between media that pay a (traditionally 15%) commission to
the agency (mainly broadcast media) and the media that do not.
Lately,
Search Engine Marketing (SEM) and
Search Engine Optimization (SEO) firms have been classified by some as
'agencies' due to the fact that they are creating media and implementing media
purchases of text based (or image based in some instances of search marketing)
ads. This relatively young industry has been slow to adopt the term 'agency'
however with the creation of ads (either text or image) and media purchases they
do qualify technically as an 'advertising agency' as well as recent studies
suggest that both SEO
and SEM are set to
outpace magazine spending in the next 3-5 years.
Not all advertising is created by agencies. Companies that create and plan
their own advertising are said to do their work in house.
Agency personnel
The creative department -- the people who create the actual ads --
form the core of an advertising agency. Modern advertising agencies usually form
their copywriters and art directors into creative teams. Creative teams may be
permanent partnerships or formed on a project-by-project basis. The art director
and copywriter report to a creative director, usually a creative employee with several years of
experience. Although copywriters have the word "write" in their job title, and
art directors have the word "art", one does not necessarily write the words and
the other draw the pictures; they both generate creative ideas to represent the
proposition (the advertisement or campaign's key message).
The other major department in ad agencies is account services or
account management. Account service employees work directly with clients and
potential clients, soliciting business for the ad agency and determining what
clients need and want the agency to do for them. They are also charged with
understanding the clients business situation and representing those needs within
the agency, so that ads can be brought to bear on the correct problem.
Previously, client services employees wrote the advertising strategy that the
creative director (and teams ) would use to create the advertising. However,
since the late 1960's in the UK, and the mid-1980's in the US, specialist
account planners have been tasked with doing this. The account planner was
originally employed to "represent the consumer" in the advertising i.e. find the
best way to pitch the clients products to people but better understanding them,
what they want and how to talk to them. Planning's role has expanded
considerably since it was originally introduced. Pleanners now brand strategists
and, to a certain extent, media strategists - using consumer insights to
understand where and how people are most receptive to certain messages.
The creative services department may not be so well known, but its
employees are the people who have contacts with the suppliers of various
creative media. For example, they will be able to advise upon and negotiate with
printers if an agency is producing flyers for a client. However, when dealing
with the major media (broadcast media, outdoor, and the press), this work is
usually outsourced to a media agency which can advise on media planning
and is normally large enough to negotiate prices down further than a single
agency or client can.
In small agencies, employees may do both creative and account service work.
Larger agencies attract people who specialize in one or the other, and indeed
include a number of people in specialized positions: production work, [Internet]
advertising, or research, for example.
An often forgotten, but extremely important, department within an advertising
agency is traffic. Typically headed by a traffic manager (or system
administrator), this department is responsible for a number of things. First and
foremost is increasing agency efficiency and profitability through the reduction
of false job starts, inappropriate job initiation, incomplete information
sharing, over- and under-cost estimation, and the need for media extensions. In
small agencies without a dedicated traffic manager, one employee may be
responsible for managing workflow, gathering cost estimates and answering the
phone, for example. Large agencies may have a traffic department of ten or more
employees. Department size varies, but its importance remains the same.
Famous advertising agencies
BBDO -- works with Anheuser-Busch, Visa, and PepsiCo.
Crispin Porter + Bogusky --famous for Subservient Chicken, works with Burger
King, EarthLink, Virgin Atlantic Airways, Volkswagen
Doyle Dane Bernbach -- created famous campaigns for Volkswagen (including
the famous "Lemon" ad) and Avis Rental Cars ("We're number 2. We try
harder.")
Goodby, Silverstein & Partners -- famous for the "Got Milk?" campaign, among
others
JWT (formerly J. Walter. Thompson) -- works with Kelloggs, Unilever, Diageo.
The Martin Agency -- UPS, GEICO, NASCAR, Miller (Lite, MGD), Hanes, and
others
N.W. Ayer & Son -- the first ad agency in the United States, coined "When it
rains it pours" (Morton Salt), "A diamond is forever" (De Beers), "Reach out
and touch someone" (AT&T), "Be all you can be" (United States Army), and
others
Ogilvy & Mather -- famous for the Rolls-Royce print ad with the headline "At
60 miles an hour the loudest noise in this new Rolls-Royce comes from the
electric clock", among other ads
Saatchi and Saatchi -- most famous for working with the Conservative Party
especially during the 1979 general election (Maurice and Charles Saatchi
later left and set-up M&C Saatchi)
TBWA\Chiat\Day -- works with Apple Computer (including the "Think Different"
campaign) and adidas. Responsible for creating the fcuk brand and (in the
UK) Wonderbra advertising.
Partnership Advertising -- responsible for developing the "loading cancer"
ad that won the 2003 New York Festivals Finalists
Largest Advertising Groups
According to the Research Company Evaluating the Media Agency Industry, the
2004 top 6 largest advertising groups ranked by worldwide billings were the
following:
WPP Group: $48.055 Billion
Publicis: $34.365 Billion
Interpublic: $27.870 Billion
Omnicom Group: $25.230 Billion
Aegis Group: $20.355 Billion
Havas: $8.775 Billion
External links
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This guide is licensed under the GNU
Free Documentation License. It uses material from the Wikipedia.
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